Canadian investment banks launch local version of Project Turquoise

In an echo of Project Turquoise in Europe, seven Canadian investment firms have clubbed together to launch an alternative trading platform to rival the Toronto Stock Exchange. According to a report in the Financial Times, the trading system – which is to be called Project Alpha – is supported by BMO Capital Markets, Canacord Capital Corporation, CIBC World Markets, National Bank Financial, RBC Capital Markets, Scotia Capital and TD Securities.

Alpha CEO Joss Schmitt told the newspaper the platform would have a continuous electronic order platform and trades will be made on a price-time basis. In Europe, investment banks have backed Project Turquoise to increase competition with stock exchanges while in the US about 40 alternative trading venues have been set up in the past 12 months. The ATS is expected to launch in 2008 subject to regulatory approvals.